Story perspectives

Canada April Home Sales Drop 4%, Prices Rise 2%

5/16/2026

Summary

Canada Home Sales Fall

Canada home sales in April 2026 fell 4 % year-over-year to 42,927 units.
The national average sale price rose 2.2 % from April 2025 to $695,412.
BMO chief economist Douglas Porter said sales remain about 10 % below normal April levels.
Canadian Real Estate Association (CREA) cut its 2026 sales forecast to a 1 % rise and projected the average price at $688,955, about $10,000 lower than the January outlook.

Summary

Canada Sales Slip

The national sales-to-new-listings ratio slipped to 45.6% in April, down from 47.1% in March, showing slower market absorption.
Buyers remained cautious, adopting a wait-and-see approach as higher mortgage rates and geopolitical uncertainty dampened demand.
Canada’s housing inventory measured 5.2 months of supply in April, still below the long-term seasonal average.
New listings rose 4.1% month-over-month to 187,647 properties, remaining 6.1% below the long-term average for the period.

History

Historical Context

After the 2008 housing bubble burst, U.S. home prices fell more than 20% and the Federal Reserve cut rates to 0% by December 2008, while Congress approved a $700 billion TARP and Lehman Brothers collapsed on September 15 2008. Canada’s 2026 market now shows a sales slowdown reminiscent of the post-crisis buyer caution.

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Canada Home Sales Fall

Canada home sales in April 2026 fell 4 % year-over-year to 42,927 units.
The national average sale price rose 2.2 % from April 2025 to $695,412.
BMO chief economist Douglas Porter said sales remain about 10 % below normal April levels.
Canadian Real Estate Association (CREA) cut its 2026 sales forecast to a 1 % rise and projected the average price at $688,955, about $10,000 lower than the January outlook.

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